2. I. Origin
II. Principles
III. Concept
IV. International regulations
V. Stakeholders
VI. Internal and external dimension
VII. Management systems
VIII.Criticisms
IX. Improvements
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3. I. ORIGIN
At the end of the eighteenth century, with the
beginning of the Industrial Revolution in England
that later spreads to the rest of the European
continent, begins the importance of the
interrelationship between business and society.
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4. I. ORIGIN
In the twentieth century, specifically in the 50's,
Corporate Social Responsibility (CSR) emerges,
that was born as a business discipline after the
publication of the book “The social responsibility of
the entrepreneur”, in the U.S.. Inspired by the work
of the economist Kenneth Arrow, who gave an
important impetus to thinking about CSR by raising
in one of his articles the importance of corporate
social responsibility.
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5. I. ORIGIN
In Spain, in the nineteenth century, the cooperative
movement emerges in different sectors, but it is in
the first half of the twentieth century when
companies start to grow and acquire more power.
We start talking about Corporate Social
Responsibility (CSR), differing from the concept of
philanthropy, arising a new business idea.
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6. I. ORIGIN
This new business idea has its foundations in the
conception of the company as an entity that not
only has obligations with the shareholders, but
also is responsible for the social and
environmental impacts of its activity.
At present, Corporate Social Responsibility (CSR)
is essential in the development of the activity of
companies that are inclined towards a sustainable
development policy and that meets present needs,
responding to the demands of society.
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7. I. ORIGIN
Society, as a whole, demands greater concern for
the environment and the well-being of all those
who integrate into it. Companies that apply the
principles of CSR thus differentiate themselves
from the competition and obtain advantages over
other companies in the sector.
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8. II. PRINCIPLES
In market economies, companies fulfill the function
of adapting goods to meet human needs in order
to obtain maximum profit. New business trends not
only seek to maximize profits, but also adopt
measures related to Corporate Social
Responsibility (CSR) in management.
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9. II. PRINCIPLES
The company, besides having obligations and
responsibilities with the shareholders, is also an
entity responsible for the social and environmental
impacts of its activity and particularly in the labor
space.
CSR has developed as part of a sentiment that is
born within society. Societies, especially in
developed countries, consider that the company
must return to the society part of their benefits that
they have achieved through their activities.
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10. II. PRINCIPLES
The commitment to overturn some of the
companies' activities in Social Responsibility tasks
serves to gain an important advantage over
competitors, since currently the work in CSR is an
element that contributes competitive differences
enhancing and reinforcing the corporate image.
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11. II. PRINCIPLES
Why Do Companies
Implement CSR
Management?
Change their public
image because
something negative
has happened.
Improve their image,
and thus their
competitiveness.
Motivations
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12. II. PRINCIPLES
There are laws, principles and commitments
between countries that try to increase the number
of companies, although still today they are non-
mandatory recommendations.
• To return to society part of what it contributes to
business activity.
• Minimize the negative impacts of business
activity on society.
• Respect international and national
recommendations and guidelines on CSR.
• Work for the development of human rightswww.ecorl.it/en
13. III. CONCEPT
"The voluntary integration by companies of social
and environmental concerns in their business
operations and their relations with their partners.
Being socially responsible means not only fully
complying with legal obligations, but also going
beyond compliance. "
EU Green Paper
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14. III. CONCEPT
“The set of actions that take into account the
companies so that their activities have a positive
impact on society and affirm their principles and
values that govern both in their own internal
methods and processes in its relationship with
other actors. CSR is a voluntary initiative.”
International Labor Organization.
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15. III. CONCEPT. Characteristics
• It is a voluntary activity.
• CSR is incorporated into the entire production
and management process of the company.
• Incorporation of values in its management model
that provoke a sustainable development of society.
• It requires a greater commitment than mere
compliance with legality.
• It involves direct interaction with stakeholders
with whom the company relates.
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16. III. CONCEPT. Areas
• Legal social responsibility. CSR goes beyond the
mere fulfillment of the current legality, but it does
not have to be dispensed with.
• Ethical responsibility. It implies a behavior
centered on the justice of the companies with the
social groups with which it is related.
• Economic social responsibility. Refers to how
wealth is generated in the company and
distributed among stakeholders.
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17. IV. INTERNATIONAL REGULATIONS
Corporate Social Responsibility (CSR) has
been developing at the same time that the
power of multinationals has grown throughout
the 20th century. States and international
organizations, sensitive to the problems of
business development, have been developing
initiatives to make companies work from a
responsible and committed perspective with the
world in which they live.
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18. IV. INTERNATIONAL REGULATIONS
One of the most important features of these
instruments is that they are not mandatory,
although companies are incorporating some of
them because sustainable development
practices are part of the image they project in
society and in consumers.
The following are the most interesting
international initiatives and regulations:
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19. IV. INTERNATIONAL REGULATIONS
UN
• Global Compact (1999).
• Global Compact Lead
ILO
Tripartite Declaration of Principles
on Multinationals (1977)
OECD Guidelines for Multinationals
ISO ISO 26000 (2010)
EU
Green Paper on CSR (2011)
European Multilateral Forum CSR
European Alliance for CSR.
www.ecorl.it/en
20. IV. INTERNATIONAL REGULATIONS
A) The UN
The main instrument of this organization in
matters of Corporate Social Responsibility is
the "Global Compact" that was born at the
World Economic Forum in Davos in 1999. This
Global Compact contains ten principles that
have to take into account the Companies that
join it and which are as follows:
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21. IV. INTERNATIONAL REGULATIONS
Human rights
1
Companies should support and respect the protection of fundamentally
internationally recognized human rights within their sphere of influence.
2 They must ensure that they are not complicit in human rights violations.
Labor relations
3
Companies should support the freedom of affiliation and the effective recognition
of the right to collective bargaining.
4 The elimination of all forms of forced or coerced labor.
5 The eradication of child labor.
6 The abolition of discrimination practices in employment and occupation.
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22. IV. INTERNATIONAL REGULATIONS
Environment
7
Companies must maintain a preventive approach geared to the challenge of
environmental protection.
8 Adopt initiatives that promote greater environmental responsibility.
9
Encourage the development and distribution of environmentally friendly
technologies.
Fight against corruption
10
Businesses must fight against corruption in all its forms, including extortion and
bribery.
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23. IV. INTERNATIONAL REGULATIONS
B) ILO
It has been working to improve people's living
and working conditions since its foundation in
1919. In CSR, it incorporated the guidelines
into a set of principles that were compiled and
adopted in the Tripartite Declaration of
Principles concerning Multinational Enterprises
and Social Policy (1977) which was completed
in 2000 and 2006.
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24. IV. INTERNATIONAL REGULATIONS
B) ILO
The ILO urges States to regulate the minimum
conditions that they have ratified in their
agreements, so that companies respect and
implement social policy measures regarding
their workers. This document sets out
guidelines on employment, training, working
and living conditions, and working
relationships.
www.ecorl.it/en
25. IV. INTERNATIONAL REGULATIONS
C) OECD
The OECD (Organization for Economic
Cooperation and Development) encourages the
development of measures to achieve a more
socially responsible world through its work and
reports. In its General Guidelines for
Multinational Companies, it drives the idea of
Corporate Social Responsibility.
www.ecorl.it/en
26. IV. INTERNATIONAL REGULATIONS
D) ISO
The International Organization for
Standardization published in November 2010
ISO 26000. This ISO standard guides
companies to work in a harmonized way the
Corporate Social Responsibility. However, this
standard does not give a certificate in this field
yet, since it only offers guidelines and not rules
that must be accepted.
www.ecorl.it/en
27. IV. INTERNATIONAL REGULATIONS
E) EU
The European Union has developed
researches on Corporate Social Responsibility
since the end of the 20th century but its first
major document was promoted in 2001 by the
Commission and was called the Green Paper
on Corporate Social Responsibility.
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28. IV. INTERNATIONAL REGULATIONS
E) EU
This document reports on the potential nature
of the lines on CSR and defines what the
European Union understands about Corporate
Social Responsibility: “the voluntary integration
by companies of social and environmental
concerns in their business operations and their
relations with their interlocutors”.
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29. IV. INTERNATIONAL REGULATIONS
E) EU
The Green Paper mentions among its
indications that CSR should be promoted not
only among large corporations, but is a useful
instrument for the management of small and
medium-sized enterprises and it recognizes the
importance of channeling this responsibility
within the organization and between external
agents (customers, suppliers, etc.) with which
the company is related.www.ecorl.it/en
30. IV. INTERNATIONAL REGULATIONS
E) EU
The European
Multilateral
Forum on CSR
Promoted by the European Union in
order to deepen the knowledge of CSR
and establish common principles that
serve as a guide for action in this field.
The European
Alliance for
CSR
It is a forum that aims to serve as an
instrument for sharing information in the
field of CSR between companies of all
types and sizes and the States of the
European Union. It develops research,
awareness and dissemination activities
in this field.www.ecorl.it/en
31. V. STAKEHOLDERS
One of the great challenges that has been
presented to companies in the last years is to
respond to the needs demanded by the people
and groups that are related to them. The
answer to their needs is one of the essential
notes of the RSC at the moment.
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32. V. STAKEHOLDERS
Stakeholders are referred to all the subjects
(public or private, individuals or groups) with
which the companies relate.
These subjects have a great influence on the
behaviors that the organizations develop and,
to a large extent, the decisions that the
companies make are influenced by these
stakeholders.
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34. V. STAKEHOLDERS
The choice may depend on a multitude of
factors that can condition the decision.
Influence
The influence that the group can exert on the
activity and benefits of the company.
For example, the influence that the media can
exert on the purchase or non-purchase of a
product from a company.www.ecorl.it/en
35. V. STAKEHOLDERS
Dependence
The degree of dependence of the group with
the organization at the time the decision is
made.
An example of dependency arises when a
collective agreement has to be concluded with
the workers' representatives.
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36. V. STAKEHOLDERS
Rules
The rules that have been approved at any
given time.
An example: the measures to reconcile work
and family life that can be approved by law and
have to be implemented in companies for the
enjoyment of workers.
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37. V. STAKEHOLDERS. Objectives
Shareholders
• Dividend policies
• Transparency in information
• Responsible Investments
Workers
• Training and professional development.
• Reconciliation of personal and family life.
• Communication.
• Fair wages.
• Health and Safety at Work.
Clients
• Assurance of quality and reliability.
• Guarantee of compliance with human rights.
• Labor and environmental.
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38. V. STAKEHOLDERS. Objectives
Suppliers
• Free competition and fairness in the election.
• Guarantees of human rights compliance
• Labor and environmental.
Banks
• Commitments and guarantee of the funds
provided.
• Even in extreme situations, given the volume
of funds, active presence in the decision
process, even replacing shareholders in
liquidity situations
Enviroment
• Energy efficiency.
• Reduction of environmental degradation.
• Future generations.www.ecorl.it/en
39. V. STAKEHOLDERS. Objectives
Competitors
• Loyalty.
• Alliances.
Public
Administrations
• Compliance with economic, social and
environmental regulations.
Society
• Social action.
• Job creation.
• Promotion of ethical values.
Media
• Image enhancement.
• Trust.
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40. VI. INTERNAL & EXTERNAL DIMENSION
The EU Green Paper on Corporate Social
Responsibility divides the areas of CSR into:
• Internal block or internal RSC. It refers to topics
related to employees, and environmental aspects
related to the management of natural products in
production.
• External block or external RSC. It refers to the
external dimension of the company. Within this
group stands out its integration with the
surrounding environment and respect for human
rights.www.ecorl.it/en
41. VII. MANAGEMENT SYSTEMS
Sustainability Report
This is a document that communicates to the
stakeholders what actions they carry out in
environmental, economic and social matters. Their
publication gives them recognition, good image
and reputation.
Social balance
This is a document that contains the main data
and figures summarizing the social work business.
www.ecorl.it/en
42. VII. MANAGEMENT SYSTEMS
Indicators
In order to measure CSR, indicators can be used.
Indicators are a set of values that measure certain
specific variables, in order to be able to verify that
a company reaches the goals indicated in its
strategy.
Indexes
They are databases provided by independent
research or ethical rating agencies that provide
information to the market about ethical, social and
environmental behavior.www.ecorl.it/en
43. VIII. CRITICISMS
Along with the growth of these practices, many
critical voices have also emerged:
Mere ‘cosmetic’ action
Their efforts may sometimes seem naive, they
might seem even comical, but behind these image
washes there are dramatic problems that they try
to hide. See, for example, the case of the CSR
efforts of the Spanish company ENDESA and in
counterpart to its conflict with the Mapuche people
in Chile.
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44. VIII. CRITICISMS
Poor effectiveness of CSR actions
Low effectiveness of CSR actions for development
cooperation. Related to the debate begun in the
1980s on the failure of development, with the post-
development theories of Arturo Escobar, that
questions if these actions produce perennial
benefits to communities.
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45. VIII. CRITICISMS
Political proposal that transcends CSR
It is denounced that some of the CSR proposals
conceal a neoliberal ideology that promotes a new
relationship between company and society based
on self-regulation, self-obligation and the reduction
of the State as a regulatory and donor institution of
goods, services and freedoms.
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46. VIII. CRITICISMS
Political proposal that transcends CSR
CSR refers to the voluntary extension of corporate
responsibility beyond what it is stipulated by law in
the context of a global economy, where States
have lost some of their regulatory role. 2 key
elements: globalization and deregulation.
Aiming to increase profits in a globalized market,
companies compete to reduce costs Reducing
labor and environmental costs through relocation
and dispersive subcontracting.
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47. IX. IMPROVEMENTS
1. Strengthening social demands
There is nothing better to combat bad business
practices and promote more responsible behaviors
than an active, formed, conscious and organized
citizenship. What requires a dense and powerful
civic fabric, in turn unviable without social
organizations that are able to combat the
oligopolistic hegemony of large companies and to
raise firmly and effectively the demands of society.
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48. IX. IMPROVEMENTS
2. Legal obligation without palliatives of the basic
aspects of CSR
(Human rights, decent work relations,
environmental respect, integrity, information
transparency ...)
All those aspects that by their own importance for
the affected parties and for the society cannot be
left to the fruition of the free will of the companies.
They are a moral requirement of justice and must
be a legal requirement.
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49. IX. IMPROVEMENTS
3. Legal changes
Legal changes that favor corporate governance
systems that are more responsible and
participatory among all significant stakeholders,
driving progress toward a kind of democratization
of corporate governance.
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50. IX. IMPROVEMENTS
4. Political market control
If we advise that the prevailing markets and model
are determining business behavior, reversing that
situation requires a political will capable of
rethinking the way the market functions,
subordinating its logic to the logic of democracy:
setting extra-economic limits to the predominant of
values of profit and competitiveness. We think that
overcoming that irritating rhetoric of CSR is a
political challenge (not attainable nationally)
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51. Produced by:
Erasmus Plus KA2 – Adult Education
Agreement n. 302554962 Project n. 2015-1-IT02-KA204-015467
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52. PARTNERS
Università Popolare di Firenze-IT
www.universitapopolaredifirenze.it
Federación Española de Universidades Populares-SP
www.feup.org
Pula Open University -HR
www.pou-pula.hr
Eu Trade-LT
www.eu-trade.org
Yunus Social Business-AL
http://ysbbalkans.com/
Università Telematica Uninettuno-IT
www.uninettunouniversity.net
This project has been funded with support from the European Commission. Publication
and products reflect the views only of the ECORL Consortium, and the Commission cannot
be held responsible for any use which may be made of the information contained therein
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